Defined Contribution Pension. Bargaining unit members hired by the Township on or after January 1, 2024 shall be ineligible for the MERS pension system and required to enter a defined contribution retirement system established by the Township. Operating under section 401(a) of the Internal revenue Service Code, all employee contributions will be made on a pre-tax basis. The employee will be required to contribute a mandatory four percent (4%) of the employee’s base wage, excluding overtime or any other special payments. The Township will contribute an amount equal to eight percent (8%) of the employee’s base wage, excluding overtime or any other special payments. The vesting schedule for employer contributions applied to the defined contribution pension plan shall be twenty percent (20%) per year with full vesting upon completion of five (5) years of service.
Defined Contribution Pension. The Township agrees to create a 401(a) defined contribution plan for bargaining unit members who have reached the 70% cap in the Act 345 defined benefit pension system and who were promoted to Captain on or after May 1, 2007. Current Captains participating in the DROP may also enter the defined contribution plan after expiration of the five (5) year DROP term. The 401(a) defined contribution plan will be maintained with Fidelity Investments and will require a mandatory Township contribution of 7% of wages and a mandatory employee contribution of 7% of wages. Thereafter, the Township will match an employee’s contribution dollar for dollar at the current maximum allowed by the Internal Revenue Service up to 25%. Upon entering the 401(a) defined contribution plan, the employee’s seven percent (7.00%) contribution to the Act 345 pension system will cease. During participation in the defined contribution plan, the participant continues with full employment status and receives all future promotions and benefit/wage increases. It is understood by both parties to this agreement that voluntary employee contributions are post-tax contributions. It is also understood by both parties that it is the participant’s sole responsibility for analyzing the tax consequences of participation in the 401(a) defined contribution system.
Defined Contribution Pension. PLAN (DC RPP) There will be a newly-created DC RPP component of the Plan called (Defined Contribution Pension Plan) (”DC RPP”) subject to its terms and conditions as they may be amended by the Company from time to time. Eligible Employees must join the Plan the first day of the month following the first full calendar month of continuous employment with the Employer.
Defined Contribution Pension. Plan (DCPP) All teammates hired after March 31, 2009, will enroll in Woodbridge Foam’s Defined Contribution Pension Plan (DCPP) for Hourly Employees as of June 1, 2020. Employees must have completed one (1) year of service at the time of enrolment. Employees will make a mandatory contribution of two (2%) percent of their base earnings in the DCPP. The Company will match employee contributions up to one percent (1%) of their base earnings. Earnings are defined as regular straight time earnings including statutory holiday pay and vacation pay. Employees will be allowed for additional voluntary contributions without an employer match. Employees are responsible for ensuring contributions within the CRA guidelines. All employer and employee contributions are immediately vested. The Company will negotiate preferred investment management fees with the record keeper. The Company reserves the right to select and /or change vendors as appropriate. The Company will pay the administration costs (all expenses other than investment management related fees and expenses). The Company will provide the “information and education” for the employees. APPENDIX “C”: TEMPORARY PART TIME The parties agree that the Company may utilize a separate group of temporary part-time employees (TPT) to cover unforeseen and scheduled absences. For the purposes of this agreement, temporary part-time employees will be employed in the following order:
Defined Contribution Pension. The Township agrees to create a 401(a) defined contribution plan for bargaining unit members who have reached the 70% cap in the Act 345 defined benefit pension system and who were promoted to the unit on or after November 1, 2008. Current bargaining unit members eligible to participate in the DROP may also enter the defined contribution plan after expiration of the five (5) year DROP term. The 401(a) defined contribution plan will be maintained with Fidelity Investments and will require a mandatory Township contribution of 7% of wages and a mandatory employee contribution of 7% of wages. Thereafter, the Township will match an employee’s contribution dollar for dollar at the current maximum allowed by the Internal Revenue Service up to 25%. Upon entering the 401(a) defined contribution plan, the employee’s seven percent (7.00%) contribution to the Act 345 pension system will cease. During participation in the defined contribution plan, the participant continues with full employment status and receives all future promotions and benefit/wage increases. It is understood by both parties to this agreement that voluntary employee contributions are post-tax contributions. It is also understood by both parties that it is the participant’s sole responsibility for analyzing the tax consequences of participation in the 401(a) defined contribution system.
Defined Contribution Pension. The Township agrees to create a 401(a) defined contribution plan for bargaining unit members who have reached the 70% cap in the Act 345 defined benefit pension system and who were promoted to the unit on or after November 1, 2008. The 401(a) defined contribution plan will be maintained with Fidelity Investments and will require a mandatory Township contribution of 7% of wages and a mandatory employee contribution of 7% of wages. Thereafter, the Township will match an employee’s contribution dollar for dollar at the current maximum allowed by the Internal Revenue Service up to 25%. Upon entering the 401(a) defined contribution plan, the employee’s seven percent (7.00%) contribution to the Act 345 pension system will cease. During participation in the defined contribution plan, the participant continues with full employment status and receives all future promotions and benefit/wage increases. It is understood by both parties to this agreement that voluntary employee contributions are post-tax contributions. It is also understood by both parties that it is the participant’s sole responsibility for analyzing the tax consequences of participation in the 401(a) defined contribution system.
Defined Contribution Pension. Members promoted prior to January 1, 2008 The Township agrees to create a 401(a) defined contribution plan for bargaining unit members who have reached regular retirement eligibility with twenty-five (25) years of service and who voluntarily elect to participate in the plan. The 401(a) defined contribution plan will be maintained with Fidelity Investments and will require a mandatory Township contribution of 10% of wages and a mandatory employee contribution of 7% of wages. Thereafter, the Township will match an employee’s contribution dollar for dollar at the current maximum allowed by the Internal Revenue Service up to 25%. Upon entering the 401(a) defined contribution plan, the employee’s seven percent (7.00%) contribution to the Act 345 pension system will cease and years of service in the Act 345 pension system will be fixed.1 During participation in the defined contribution plan, the participant continues with full employment status, receives all future promotions and benefit/wage increases. Additionally, final average compensation in the 345 pension system shall continue to adjust and be determined upon final separation of employment. It is understood by both parties to this agreement that voluntary employee contributions are post-tax contributions. It is also understood by both parties that it is the participant’s sole responsibility for analyzing the tax consequences of participation in the 401(a) defined contribution system. Members promoted after January 1, 2008 The Township agrees to create a 401(a) defined contribution plan for bargaining unit members who have reached regular retirement eligibility with twenty-five (25) years of service and who voluntarily elect to participate in the plan. The 401(a) defined contribution plan will be maintained with Fidelity Investments and will require a mandatory Township contribution of 7% of wages and a mandatory employee contribution of 7% of wages. Thereafter, the Township will match an employee’s contribution dollar for dollar at the current maximum allowed by the Internal Revenue Service up to 25%. Upon entering the 401(a) defined contribution plan, the employee’s seven percent (7.00%) contribution to the Act 345 pension system will be fixed.2 1 For example, an employee who elects to enter the 401(a) plan with 27 years of service shall have a defined benefit pension equal to 72% of final average compensation, (25 yos x 2.8% = 70% + 2 yos x 1% = 2%).
Defined Contribution Pension. The Company will contribute in the first year 2.00%, in the second year 2.50 % and in the third year 3.00 % for each hour worked by an employee member to their individual retirement savings account. Changes to the Company contribution rate will occur on October 1, 2005, October 1, 2006 and October 1, 2007, respectively The Company will also match an employee’s optional contribution at the rate of fifty cents (50 cents) for each $1.00 which the employee contributes to maximum additional Company contribution of one per cent (1%) of the employee’s pay.
